Once a debt is sold to a collection agency you have a chance to settle the debt for a lesser amount, often pennies on the dollar. Most debt collectors just want the money asap.
Credit scores can take a dive if you have duplicate negative information reporting because it appears that you have more DEBT than you actually have
Medical Debt: Most debt has a statute of limitations which means at some point it becomes legally uncollectible. Debt collectors can continue to pursue payment but have no leverage.
Junk debt buyers may be engaging in phantom debt, collecting payments from consumers for debts that are nonexistent. or illegal to collect.
Medical debt collectors looking to collect on older accounts often don’t have any documentation to prove you owe the debt. It’s important to challenge medical collection accounts. If you want to pay, contact the original medical provider.
Original creditor is no longer reporting an account to the credit bureaus but debt collector is reporting new dates on the account. This action is re-aging an account which is illegal.
You have the right to stop the debt collector threats and stop debt collectors from calling and writing you. But that does not eliminate the debt.
Disputing an old collection account can trigger the collection agency to renew their collection efforts or sell the debt to a new debt collector.